Domestic Equity Funds
About Domestic Equity Funds
Equities, or stocks, basically represent a share of ownership in a company. The value of that share can rise and fall based a whole host of factors – the company's performance, market conditions and more.
There are different types of stocks. Growth stocks are from companies that have exhibited faster than average growth or gains. A value stock is one that investors believe may be trading at prices below its perceived market value. Large-capitalization stocks represent the biggest companies. Small-cap stocks are from companies with smaller market capitalization. Many established stocks pay dividends, which are earnings returned to the owners (the shareholders). Stocks that pay dividends on a regular basis are called income stocks. Domestic stocks represent U.S. companies, while international or global stocks represent companies from other countries.
Many investors buy stocks because, historically, as a group they have shown the highest returns. However, the equity markets can also experience periods of extreme volatility.
About Nuveen Domestic Equity Funds
Nuveen's Domestic Equity Closed-End Funds invest in common and sometimes preferred stock shares of publicly listed companies. The funds generate more of their cash flow from the stock portfolio's appreciation than from dividend income. Some cash flow may be tax-advantaged, meaning it is taxed at less than ordinary income rates for qualifying individuals.
Our equity portfolios use various strategies to seek capital appreciation and income:
- Bottom-up value stock selection (JTA) focusing on a broad range of dividend-paying value stocks;
- A combined mid-cap growth and preferred stock strategy (JTD), and
- A quantitative large-cap stock strategy (JCE).
| JCE | Nuveen Core Equity Alpha Fund |
| JTA | Nuveen Tax-Advantaged Total Return Strategy Fund |
| JTD | Nuveen Tax-Advantaged Dividend Growth Fund |
|
Jump to:
Who Might Be Interested in Domestic Equity Closed-End Funds?
The features and investment objectives of these funds might be especially appealing to investors seeking:
- Attractive regular distributions from a variety of sources including common and preferred stock dividends that may be tax-advantaged for certain investors;
- Opportunity for capital growth;
- Opportunity for cash flows with low historical correlation to fixed income markets.
What are potential risks of domestic stocks?
- Common stock returns have historically experienced significantly higher volatility than most other investments
- Individual stock prices may be significantly depressed by an adverse event such as general economic decline, an unfavorable earnings report or a government action.
